It is the classic chicken and egg scenario – which comes first?
Rapid changes in the distribution and retailing for Chemists in the USA show a pathway for Australia.
How It Works
- The customer saves an hour or more getting back and forth and waiting at a traditional pharmacy into a minute on the phone. (further reduces covid transmission)
- Doctors email prescriptions and patients use the mobile app and website for refills.
- A pharmacy person contacts the patient by phone to set up delivery, take payment, add on any non-prescription products and answer any medication questions.
- A pharmacy employee delivers the prescription in hours for free.
Competitive Advantages
There are several competitive advantages over traditional pharmacies that provide a sustainable defence.
- The distribution-chemist business model services the same area as twenty traditional pharmacies.
- Free same-day delivery removes the need for prime retail storefronts.
- As a result, the fixed overhead costs fall by 99% to less than 1% of a typical large chemist retail chain.
- Geographic expansion is faster and lower cost using the distribution model vs. the traditional chemist model.
- The business at its heart is a SAAS model -after the initial cost of the software, it requires zero capital expenditure as you scale up the network.
How does the growth strategy work?
- Doctors’ education and sign up: sales team sets appointments to promote the benefits for their patients and their practice – digitised and audit trail.
- Significant investment in multi-social media platforms with organic messaging and paid advertising – #socialselling
- As one geographic area reaches peak market share, the next area begins.
Was it the chicken or egg? – does the distributor become a chemist – does the chemist become a distributor?
What is the current growth rate?
- 1,200% revenue growth from Q1 to Q4 in 2021
- 90% YoY Growth
Which business are we discussing?
www.nowrx.com
ATTENTION is the most valuable asset today in the world.
We deliver more attention, influence and engagement with your perfect buyers so you sell more.
We guarantee 8x more social media posts than you are getting today – find a lower price – we beat it by 15%.
ACCELERATE – provides a monthly subscription social media publishing + strategy service.
If you have read this far, thank you for your attention. It means a lot. I hope this helped you even a little bit in better making sense of this topic. If so, please share it with a friend who might also benefit from it.
Thanks for reading,
David
